Nippon Paper Industries has agreed with Sojitz Corporation to jointly establish a power generation company “Yufutsu Energy Center, LLC” and conduct a power generation business with biomass mono-fuel combustion, utilizing the feed-in tariff (FIT) system for renewable energy.

Yufutsu Energy Center plans to install power generation facilities using part of the premises of Hokkaido Mill (Yufutsu), Nippon Paper Industries (Tomakomai-shi, Hokkaido). Hokkaido Mill (Yufutsu) will start construction work in March 2020 to commence operation by the end of FY 2022.

The fuel to be used will be fuel-grade woodchips and palm kernel shells (KPS) mainly procured from overseas as well as unused woody materials in Japan. Nippon Paper Industries will be entrusted with the operation and maintenance of the power generation facilities. The generated electricity will be sold to Hokkaido Electric Power Co., Inc.